When Computing Earnings Per Share, Preferred Dividends Are

question 60

Multiple Choice

When computing earnings per share, preferred dividends are:

• A)added to common shares in the denominator of the EPS calculation.
• B)subtracted from net income in the numerator of the EPS calculation.
• C)added to net income in the numerator of the EPS calculation.
• D)subtracted from common shares in the denominator of the EPS calculation.

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Definitions:

Behavioral Tendencies

Predominant patterns or inclinations in behavior and response to certain stimuli or situations, often shaped by a mix of genetic, cultural, and personal factors.

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A settled way of thinking or feeling about something that reflects an individual's beliefs, feelings, or tendencies towards an object or situation.

Feelings

Emotional responses to perceptions or experiences.

Social Empathy

The ability to understand and share the feelings and perspectives of others within a social context, facilitating compassionate and harmonious interactions.